U.S. Gas Prices Climb Amid Geopolitical Tensions

Average gasoline prices across the United States increased by 10.8 cents last week to $4.06 per gallon, while diesel prices climbed 17.8 cents to approximately $5.26 per gallon. Regional spikes were significant, with Montana seeing a 17.3 cent increase to $4.30, Minnesota rising 16.8 cents to $4.04, and Illinois increasing 10.3 cents to $4.23. In Michigan, the average reached $4.23, and several Oregon metros, including Portland at $4.68, surpassed the national average.

Patrick De Haan of GasBuddy attributed these increases to a combination of escalations between the U.S. and Iran, renewed Houthi attacks in the Red Sea, and Ukrainian strikes on Russian oil refineries. These events placed upward pressure on both crude and refined product markets. Despite these trends, oil prices opened lower on Sunday following a weekend pullback in hostilities.

While the Energy Information Administration reported that domestic gasoline supply rose to 211.3 million barrels, market pressures from international conflicts continue to drive costs. De Haan warned that although the recent lull in hostilities suggests a potential moderation, motorists should expect prices to remain elevated depending on how the geopolitical situation develops in the coming week.